Viasat (VSAT) 6 Nov 242025 Q2 Earnings call transcript

Thank you for standing by. My name is Meg and I will be your conference operator today. At this time, I would like to welcome everyone to the Second Quarter 2025 Viasat Earnings Conference Call. [Operator Instructions] And now I would like to turn the call over to Lisa Curran, Vice President, Investor Relations. Please go ahead.

Meg. Thanks,

Fiscal certain SEC on financial section relating available our present required call. measures of financial Letter in the Shareholder by to QX our non-GAAP website. will Investor today's measures Information is on We the 'XX Relations Year these non-GAAP

During we certain will of factors more significant the impacted year-over-year presentation, that performance. describe the

these occur developments regarding today. risks We in any in these assume including a will annual including statements laws, date SEC we any the federal will obligation also only available factors our securities we Information forward-looking filings, anticipate update materially These make made, our forward-looking future. the number of materially that not results speak on and they forward-looking or make statements from forward-looking events the statements are results that or statements. statements These within or statements and to from any expect Form might forward-looking differ as statements may XX-K. the and report cause meaning is may of actual subject that actual we to regarding forward-looking are to differ uncertainties, of do

over Dankberg, to turn and CEO. Chairman I'll that, With it Mark

along thanks us and Accounting Shawn and for Gary Good afternoon, Chase, CFO; we today. with With joining Gowrappan, me, Lisa, our President; Chief our Duffy, Officer. our

take highlight give growth more Guru I'll referencing financial operations, and we letter. and in on posted cover Gary details. earlier quick the and afternoon we'll slides outlook, shareholder cover the and encourage letter for the our our briefly then We reading our website overview results questions. will this will shareholder a of

adjusted the were year XXXX better revenue terms expected and slides. described shareholder in second as of growth, than Our fiscal EBITDA in letter results quarter and

notes. our strengthen an continue of secured refinancing XXXX $X structure, to including also to take upsized of actions nearly capital billion We

mission Advanced billion Defense were New second record led at connectivity contract $X.X new and and quarter ground Technologies, Aviation year-over-year systems by and awards the a led which space about by and cybersecurity awards systems and in services. doubled by were and

highlighted space-based durable key Our and technology the government our certain that terminals, next-generation technologies mission-specific array cybersecurity teach-in government reinforce recent or growth advantages [indiscernible] U.S. potential Defense including breeze-based international and track, on competitive in program, optical such phased advanced we're QX markets. the commercial awards in attractive technology, opportunities as the and right

diverse avoiding single One constellations of the customers set themes and on unifying is to orbit overdependence among systems. and spectrum our access of individual

of positioning opportunities core in Of delivering the both We're businesses prospects size, the increasing in the [indiscernible]. and capitalize evaluating to are about while GAAP actively of are on those makes these opportunities, understand businesses competition alternatives, course, some intensity and their especially of open-minded the ways that potential. competitive we growth and best growth these

Garry areas will also very on more reviews at and financial converting highlighted leading leadership identifying, to Garry's detail Gary the financial in experience join on optimizing with best provide reviews capital focus return in leading conversion, capital, business to realize near operations, capital including portfolio, executing pleased levels to our and we're the term. ensure embedded to and our value we balanced Chase performance margin and profile. last CFO. operational experienced in ensure corresponding operating to the structure quarter, will leadership long We're augment alternatives have new business on planning capital we're a us strategic, financial return the financial additional cash operational and evaluating detailed peak allocation productivity as

LEO own intensity measure unique with and to and by perspective. and/or our explicitly both are calculations, returns own existing need [indiscernible] on structure agreements. discussions and strategic buy in our drive capital capital. of can additional is by improved financial point additional partnerships satellites main coverage We're leveraging tactical We're down third-party and Ka-band getting more satellites we're advanced exploring national they continuing customers The our both capital augmenting and operator coverage also drive Telesat we through fleet and unique its capabilities third-party ensure the capabilities, and performance with to

operator more capital support Campion, GSO and satellite in partners Our ecosystem a with his and spending both We're will remarks. national national-based space countries are and security and regions, systems, global often Garry geographic sovereignty. color key own seeking on working robust provide to they're NGSO their

Other sea and create on safety its evolving key on for depend the of corporate that L-band the to include land. people air, and connectivity, initiatives for use value the millions

also have We nonterrestrial services market to the the to architecture, through and network enabling and [indiscernible] satellites. by and our addressable expand greatly evolved standards leveraging a concurrently multigen very significant high open opportunity these

under but avenues our certainly getting on value high-minded and with not focused satellite work can multiple we're construction that for in-flight substantial see to connectivity, important FX We our all its beam-forming last, places, applications. mobile And mobility to shareholders, least, performance the of satellites create Association. experience technology operators ViaSat-X already with customers to its for into continue We've through operational dynamic apply in bandwidth the especially service. value [indiscernible] most accumulated partners Mobile reinforces service the

dedicated to effectively to able being that airplanes performance. teams clear It's drives

our progress on work road on map. and to continue We satellite make

decelerating. years. seeing fixed single business biggest for revenue, remain mature. prior our primarily areas. We're declines headwind that's going but declines maritime we'll increased and in as Expected they seeing and Now those L-band opportunities, on fleet touching generation is broadband, fixed on report that global several the broadband in We're on headwind, in enterprise been

meaningful, The broadband component wave net multi-orbit, [indiscernible] in customers. fleet pipeline and product Xpress modest vessel count. The about also Fleet is more beta multi-band already customers, much now but revenue while is maritime in over full-scale XXX have or doing an deployments representing X,XXX experiencing to order vessels. well We and trials initial already declines of for retaining some leading largely decelerating. Ka-band were broadband

We'll maritime opportunities outlet maritime further data net overall our the Longer building. update but market continue Evolve on installation are L-band. good offering with rates, based X/X of addressable customers, a About those and market term, to see is to we new opportunity confidence increase vessels.

Business and growing Aviation Commercial are well.

OEM associated all the near-term network delivery definitizing aircraft Boeing and and We've are to that expansion the to multi-orbit We've through to the are progress with government multi-multi expected challenges making verticals. anomaly our issue. active capacity bottleneck strike been added our are steady tail ViaSat-X aviation constraints working band New been serve antenna reconfigurations aviation growth. with doing count customers and our and and extending to already FX

product banned our government and well are own and services be includes Key advanced businesses. space-based for with both competitive. of awards. points international here, second also portion. the U.S. the obviously combined reinforced planned integration technology very antennas, platform-specific themes provide growth of solutions, We by color Laserlink with and opportunities phased fleet will and next-generation and space quarter Gary cyber, accelerating multi-orbit, multi-orbit, in technology his see growing believe payload existing and exceptional We that on us many partner management, more these very, array will and aspects for technologies. open satellite financial

over to hand I'll it that, Guru. With

and as creation. results up executive then brief which customers and in going team. I'm new our organizational value and of collaboration continuing is operating operational a our you, focused execute to show a deliver fostering provide one introduce products, Thank to we WiFi and update sharpen This Mark. teams are member for drives to turn core execution how our rigor. while to and

is and highlights the work progress lot a only to to we show to are quarterly done of we scratch but We be Our first. surface, continue put as being customers building. momentum good know our there's made

internal our to operational our of structure align to organizational and to support of take improve strategic goals continue We our in advantage scale efficiency.

and strength a supports leverage cohesive Nexus the our technology strategy excellent company example and Wave are of departments is We progress ensure great across making growth across this. an innovation. to our that

bring cross-function fostered industry-first problem Our market an necessary solving Way. Nexus to and operating model to develop and like offering the collaboration

Mark flattish created to term, FX indirect this X,XXX In an with very in the offerings that quarter. vessels. third-party count start it's primarily pipeline companion mentioned incremental near at ARPU off vessel channel, a our pressure on already order good

are We indirect. strategy for refining channel our

expect by net is in near ARPU declines We and Wave fleet some ARPU broadband enable and will the expansion growth production. primarily legacy But vessel FX term return count modest FX NEXUS in to indirect vessel net reductions in offset a Maritime.

we adaptable optimized and processes remain As will means This continue responsive and we to industry, structure, are navigate landscape our dynamic of our ensure to needs. improving they for success. our businesses the strategies continuously to

opportunities efficient that organization create goal leverage and quickly growth challenges can capture. is enhance Our to and value drive agile an and to

various in of would XX serving financial after to our joins Now new Chase as Officer. years Operational leadership Garry us executive as Finance. Financial Vice Viasat Chief of Garry President who than member most roles, more team, Delta Senior like with a Airlines joined I Chase, recently introduce senior

execution record analyst and Garry's was improvement. excited to at and covered are We of capital equity efficiency corporate airline Prior planning, in track Capital, depth financial research industries. Barclays and experience have and Delta, having planning management to the analysis, Garry operational of structure finance, development, cost strategic joining and transportation

like to I Garry. Now would it hand over to

history. an Guru. connectivity but the global the customers especially important Well, support mission businesses whole I've at Viasat I'm finance for respect our and Viasat a company's . tremendous team need grateful you, I'm Shawn, that of to land. I led sea days, during air in to in Q&A. I Thank Viasat's team of delivering gotten join in time amount safety and such on at excited the may support early of and some have for well by my from the the

to creation. especially rest strategic look advance As the function Guru leadership and group shareholder forward to initiatives, of the support and further Viasat's we for its a partnering team, Mark, value finance with the

I'm get led going me that there, Viasat these work before let But topics: the results. I all performance to colleagues financial my of X and thank to for cover hard outlook.

the second quarter by adjusted nonrecurring million. catch-up quarter second contribution million litigation that discussion All and by fiscal benefited revenue in the the which the from in of $XX 'XX, of exclude EBITDA follows $XX settlement comparisons the

XX% fiscal at now quarter results. record, year-over-year. were a financial Looking second 'XX Awards up

Defense Aviation Advanced and in and maritime to Partially X% was broadband segment in last Services our in $X.XX quarter, Connectivity down declines in products Technologies reflecting fixed Revenue offset tactical Advanced services. communication Our strong billion and led segment. and within to Technologies year's growth $X.XX by Defense aviation billion, compared networking growth. and second

EBITDA of $XXX the due a $XXX Net satellite program. impairment Adjusted the to year-over-year. net was which decline from related million our million million, charge loss X% ago, of a loss year $XXX primarily of was to improved

second noted As of or year's 'XX the shareholder by $XX EDI broadband letter, resolution agreement. Euro million of fiscal last from infrastructure quarter the the consideration in benefited contingent

Defense in less and Advanced EBITDA with Communications partially declines X% down than by Excluding strong adjusted was segment, year-over-year, our the Services that growth offset Technologies. benefit, continued in

year-over-year Capital XX% expenditures shifts, due declined million, payments. satellite of future to to space expenditures and related to ground certain lower to primarily decreasing $XXX quarters infrastructure

expenditures quarter-to-quarter. opportunities ahead quarter, our we As $XX a flow positive is bandwidth. approximately from capacity the helped the capital cash during fleet CapEx network transitory while generate can with third-party flow lower performance The us free lumpy and reminder, augment free of the million Viasat-X indicative cash be of as leverage and which

satellite from in insurance cash our the by operations, Please of cash of the free property, proceeds. have fiscal impact equipment claims are flow quarter, million purchases During note anticipate recorded satellites. cash insurance calculation, XX% the of we we collection of than received million on investing, year. of $XXX no We've $XXX proceeds flow more less which also that defined approximately of is from collected but as and end the insurance the

open $X.XX during was quarter In $XXX in We the but from cash from offering principal a oversubscribed of September, at billion. billion had quarter notes. initial repurchased we also amount prior transactions million the notes received of in the XXXX to Inmarsat-XX issuance of to issued increased size discount the of par. amount small The the $X.XX end, market

was the debt, billion. on cash cash notes. forma gross gross from October the quarter for $X.X adjusting After and the Subsequent equivalents and Inmarsat-XX debt to with of to debt the $X.X $X.X billion. all same $X.X outstanding was on billion, Inmarsat-XX quarter notes, of the we and Inmarsat-XX billion So end, redemption net net hand note billion equivalents cash proceeds cash the was redeem the used debt together pro cash was end of $X.X net X, and issuance billion, $X.X

million, refinancing to Adjusting partially balances. the expense cash by income cash is on interest our expected interest approximately transaction, $XXX for annual our be offset

expected Finally, lower net as and was slightly leverage trailing sequentially quarter. second X.Xx adjusted slightly year-over-year of up the at as EBITDA approximately

Services. Communication existing our at segment closer starting continues well Aviation in on quarter, look both new the in market a quarter performance business with take and new let's during the the to Now with customers. very compete and

there delivery sequential prior and Boeing with year-over-year strike. more quarter delays OEM to in drove related IFC despite to X,XXX count. the in our were ended delays, the about addition XX% Still, service, contracted the ongoing double-digit backlog In up than growth aircraft, to year-over-year and active aircraft commercial X,XXX aircraft

While we're delays, the results in of settled to the and delivery including FY outlook continue just confident trajectory growth by strike. incremental Boeing affected Aviation, for the 'XX be effects

subscribers. the During our ] driven fixed advertising services declined Azul our with expanded ad-supported and broadband quarter, neos to residential as Airbus revenue WiFi streaming line-fit AXXX-XXX using new fewer with partnership we in-flight platform. equip our [ by U.S. expected,

businesses. meeting allocate We towards capacity for and continue the commercial higher-value demand aviation growing to IFC

priority. diversified demand grew Maritime, connectivity Nexus we're Guru Wave as in direct remained selection budget are service and X% Mark channel above business top year-over-year, results strong far for interest and as SATCOM expectations the satellite talked is strong in a seeing government thus level promising. about, service Our Within revenue unit our

Communications and EBITDA government million, X% and services broadband by X% year-over-year, maritime Those growth million, revenue adjusted $XXX U.S. aviation anticipated decline Services by in down offset com. was reflecting strong impacts fixed in year-over-year. down the partially yielded of $XXX revenue

EBITDA EDI $XX quarter, was the year adjusted million X% the benefit year-over-year. Excluding prior from down

Defense Technologies during Now & to turning the Advanced quarter. performance

had of an segment DAT quarter Our excellent awards.

defense, Information demand awards was totaling reflecting ratio $XXX geographic encryption continued quarter. and the cyber $XXX over of million and period. largely the year X.Xx than in applications. book-to-bill more center by doubled for growth $XXX won security just data-intensive million versus in prior Our AI data in products, million expansion Awards driven growing

program an infrastructure approximately from Systems to received for want technology, under of Force Defense develop across million communications multifunction systems to & Air $XXX spirit satellite the I services. including commercial to Laboratory with Internet U.S. electronically and multiple and Research experimentation frequencies antennas array using related antenna optics resilient connectivity the using payload various support Space award commercial space highlight Mission X antennas space phased awards tactical, and orbits.

revenue compared bulk about secure driven versus line, last just Technologies We're mentioned. million IP additional strong Defense and deployed tactical forces and an potential multi-band licensing Advanced role Similar already was TrellisWare for connectivity. by and X% the upgrade order ago. multi-orbit, licenses was the an million, benefited $XXX of levels. by product quarter, primarily for $XX excited expanding to allied revenue U.S. a in to Strength in networking across within radios. $XXX the business year up networking generated QX approximately a anticipated larger This EBITDA uplift million tactical

already to to are be can units and upgrades difficult Product quarter-to-quarter. lumpy fielded predict

the shipment future license we revenues at levels quarter. So new lower in saw we than project

'XX, of growth the compared reflecting adjusted second can a in by As licenses. XX% of unevenness cycles. the often PAT up reminder, budget of the fiscal the $XX million, quarter TrellisWare driven ] impact million was to be customer $XX [ EBITDA positive

plan. Information and our Security, Space and ] lower fiscal Tactical focus in generated significantly. we had Systems. and our against second performance, successfully particularly Aviation, refinanced Networking. good financial came awards Networking Aviation Overall, operating continue Mission record our our to expected, Capital on and expenditures improving make in [ In We with 'XX we we progress quarter, than maturities, 'XX flexibility Tactical

'XX outlook. fiscal the to on Moving

but half quarterly We our results our confidence our impact Boeing [indiscernible] are competitive from aircraft Defense including the delays are halfway strike. record solid maintaining deliveries, also headwinds of in books, awards, within through and position in the OEM-related backlog markets, order outlook, year the reflecting and Aviation and our first of our

year-over-year, to EBITDA up adjusted the slightly in expect revenue year-over-year with to to continue digits. mid-single growth be flat We

detail provided We've shareholder in also of section the and segment additional our outlook level letter slides.

settlement For of future excluded 'XX We $X.XXX fiscal in of which to interest Therefore, catch-up portion of we on approximately EBITDA 'XX billion as continue range results. $X.X we litigation to years our 'XX into $X.X billion, the billion. comparison $XXX in benefit capitalized decline to adjusted year, expect is guidance of also billion further $X.XX purposes, million service. in placing based expenditures a and capital fiscal now will including from per decline satellites of the fiscal revenue

We satellite X/X capital our in CapEx with and expect continue maintenance other to less spend X/X to investments our activities. associated exceed of success-based network with general CapEx than total and

processes We are portion, focused on focus going be maintenance and our a reducing total capital and expenditures, including reporting this the planning will key of forward.

expect year-over-year and growth. 'XX, to we adjusted EBITDA Now to continue fiscal looking revenue ahead

Our X-year CapEx neutral. remains number net

is that the our we any So fiscal planning in 'XX. and complete multiyear granular quarterly want strategic the of cash also end of before more We're the flow process, midst progression 'XX providing fiscal on annual guidance through unchanged. work for to

cycle competitive optionality. beyond planning creating financial strategic priorities, goes capital our spending, a outlook. operational positioning It and addresses portfolio Our

unlocks a our government in flow and businesses. are cash on very call developing continuing return strategic on to mentioned We areas earlier improve each focused greater both that on the commercial Mark of financial optimize We're profile the work capital. enhance to services value and optionality, in

quarter and good, Second capturing capital on We're strengthening performance improving capital have was of closing, we're our productivity. focused share we quite opportunities a markets, large our and operational of ahead. operational runway long and In structure, growing and

like hand over call I'd the back to to that, With Mark

Garry. Thanks,

this point, at we'll So questions. to be happy take

question first comes from Edison the Your Instructions] Yu of of [Operator line Deutsche Bank.

of with [indiscernible] ideas these start evaluating to the mean, the first letter, structure, want the I shareholder you're structure. on mentioned times guess, as I all proposals page financial I on First, several structure,

in interest occurred? to any sort some have assets? teach-in. the that no if sort on ago DAT. or external been, reasons about structural comment has there as why has transaction perhaps you long of of know You of you've I there if don't assets financial And Can been had in strategic this gotten these

Okay.

it's is to one number for inquiries not actually the time all on assets. our a So us get of unusual

is So not that unusual. part

think trying And roadblocks [indiscernible] with But for to blocks the IRS. main is thing one any trying valuation about we of fruition recently. what lot the improving doing is things prudent they've transaction. to lot see especially we're it thing of one work -- to But and no I and just of I open on working what of no that to to bottlenecks we or in of And to those just open-minded be structural to just best some assets, we're and to specific think fortunately, minded. came them. a there's factor things is no government It's a anticipated how -- one We we're the is trying good been work to being that. paly -- them. the good assessing point exactly the just we -- that with that we're there's that, really that is are the say say

Can And sense perhaps Understood. just few quite then the you of lot of follow-up obviously, us side. Understood. thinking how a now L-band on players that on landscape? about from a give you're a And got DXD. a efforts we've

L-bands. lot a have You of

And value a there is both? vision about some do the monetize that of of all you you do potential yourselves? guess, sort there? How may you maximizing so keep -- Would is just you I the think it Would that?

Okay. Yes.

Mobile the can addresses forming on costs, that things in the we that talked think infrastructure. the is we've which or delivered through the thing that both and . And that is of really mobile thing to narrowband of the Services promoting can directed we system non-terrestrial the architecture satellite talked well airtime public cellphones an is IoT the open first that's capacity, area, step expect things and called theory we're is the Satellite most the in to then that terrestrial the be is And available Association. speeds is do spectrum that behind ourselves the So what networks, and going which have dependent we to networks multi-tenant it and that, XG then I've in be the XGPP did mobile worked with operators, identifying on we've about around concepts device about, that a amount first is which are one we working these good which And partners. what that open that what's on standards, combined terrestrial extending the new standards is primarily radio, there. and main focused have are been promoting, with

making progress we're it. think I on part that So

I to are that another people think is reuse are spectrum. terrestrial there's things other pursuing, evident becoming the that approach which

a primarily terrestrial I think and the lot called there's is what terrestrial of spectrum. the out-of-band a bottlenecks terrestrial the discussion -- spectrum around what's constraints, network, think -- are a net emissions on that is I other impact and spectrum through amount of really

more happening licensed And I so awareness think there's what is this the value of become about capital spectrum we space. think in is MSS

think I creates think that for -- I have are spectrum. so that for And Certainly, that's don't good people us. good that options

And have preserves have we at what we in opportunity way for these But are brings multiple but application really important services really, uses existing intend creates the also that ways times, valuable. We are that augment of the we've that. said looking services. spectrum all and our diminish a NTN to DTD augment for at and are we on space our to don't systems

looking of open all be for by And concept And this infrastructure. I holders strategies other that enhanced think multi-new MS similar would at are theirs.

spectrum, I can it there's be is that been a good lot is the in how lot discussion that you the recently might think -- value think of the and main I for applied. such one things speculation MSS of more of a about see us

to looking open I think that to available partners. way makes service in way a just in that nonexclusive we're terrestrial is a do mostly it a architecture,

really gotten feedback on And that. we've good

that. solidify I few to able to think going take it's to a more quarters be us to

do shared as terrestrial be that's declining have infrastructure think we're approach that that's to through is still that well. multi-tenant And these infrastructure able carriers able other budgets. one that's do objective again, of CapEx -- I to and that do -- to multi-tenant The our things that been consistently the aiming with thing to achieve of

[indiscernible] coming So together. we just like kind feel of

of comes of Your Raymond James. Ric Prentiss line from next the question

A businesses a evaluating Welcome, on give for questions -- couple you. working forward you you're you when there? and you talking areas? hired first of I core are side. want with that is DAT bankers mentioned what can and the further while to Garry. what my of the are probe at? different stage actively both at? topic, of about stage evaluating kind on kind alternatives And But delivering potential, you little question to where us those growth on and Look the Have we're increasing actively and

So as to I said, And going right quarter was now, going it. amount pretty we're architectures. just considering and influenced got help structures in pretty these a direction the fair Those a set and what's be businesses, the we anticipating on we evaluating pie are going strong alternative that business. for to were

use I a we one like really national they're the governments, of security is and to and things mentioned they're of about the pretty helpful. think quite valuable. So -- we both sovereignty, international space what -- government for There's They're these think businesses U.S. very that's is we differentiated. core

at, open-minded So would full those. -- to for we're going we're be, think we a we opposed valuation [indiscernible] being getting the say, work I if we're that with that aware - and certainly you we not the of the want them. sum reasonable people And value point are to know about parts, look maybe not extend how we're is just to as --

we are grow. are alternatives. those But think decisions other that would any businesses -- what's not -- we I think to say that's about going So have continue we made don't to us to causing

we're shareholder So to That's the main going be focused. just thing.

sum that. early home people Somewhat know just then then and one stage recognizing in parts of you're let the in interested the also good hearing and quarters

In Yes. ways. multiple

you in information think positive Sure. of allusion midst multiyear one on to Makes slip, getting cash plan Gary, Is flow, sense. be there could the quarterly some timing I of there? free also given granular CapEx of a 'XX. but kind an there's out before that other you're fiscal some items that the And mentioned in

fiscal that we want do did the fiscal the sure the of let's that process $XXX before And unchanged we to years, make on million get CapEx -- outlook from idea move we 'XX. how X looks. first, just we the Yes. the Ric, across bury as Well, 'XX the don't I is lead we of on more benefit granular into timing want look

think going opportunity to a at we we it's our looking be because how Additionally, spend. optimize continue good to

things level add challenge customer we just also explain operating bit we really which for money, both we as to expenses into And lot some challenge those call. we that can and means as I know for too. construct a move to to that anybody let first, don't of we the spend has want tail, operating things is little obviously see drive of to bucket, see that X want sooner to out up, an the we value: of I don't things color we really critical me and timing. sources on of to spend to need spool if of get can fall that what time accelerate contribution value which the But the the start a of time, When

expense And building it. we're that's operating nonproductive while

process, the this I opportunity opportunity to, on give those for revisit to to the play things through go better information to opportunities back ourselves get are want a, but we out. we just just going as described. -- So just also go assumptions an how and

on Aviation the about sites is or How last and think we Okay. there, one flight debate Orbits. be Geo choosing airlines dynamic seem in versus the and technology for should and commercial competitive LEOs connectivity. to out side And aviation? me Big

Okay.

I airline first. orbits they we're think think airlines, perspective an think of don't the dealing from and with a I --

is pretty was free for our now. entered they service service when to they Internet and The of realized to we a had have competitive And the every including what I think -- first advantage would model every passengers, think then of if quickly would relative paying airline have up ended what the expenses be? lot airlines first airline of I one to airline the business free any that additional no customers what's business think offered things going and streaming. the

So airlines model field but what a I as that that in main has what the on business not the the doing, focused that think is is they're business been model to and only of be the doing have thing context well.

to And differentiate looking that X at the Almost how airlines -- what so been basis. way the do differentiate is differentiate. to of we main thing they they're on -- the the to continuous XX none really they opportunities is last years, how are okay, is, with going airlines going expect hearing or years that some we've be in

main is then advantage of for latency working reasons which talked It's one the -- we're with do low maritime a lot of good we're Ka-band. speed a the thing to our LEO same latency, thing. And We the live that service. adding of is to

that that become really differentiation. also, people then work. can to you for it other becoming issue I in have, And terms is just be of is thing and expect tell I us, we evident the especially more that's think the more more think really going it's to I planes of numbers and evident, more but

it focus the or becomes X% the that the on X% doesn't. of so real And time

variety focus of can I for a is. that a that's be you And reasons, lot quite especially as where scale tell up. you of the

and issues. of entertainment it's to -- -- friction the of more the the Are of done kind versus can the are them, connectivity. those are with conversations are to the think Those going GEO segmentation, think tell model. there lot business airlines are. -- those And to think main strategies things there? having -- are around the we're market having rate. are less the of things monetization Integration I real about What that kind more I be we're I So of and help monetize a with you I LEO are the of if you, think rules what entertainment -- was that

I monetization. is -- this integration test and more issues that these think less think with everybody are in more dealing and pipe what space, seeing is that less we're and on focus including and of I the

-- pipe sort branded it's pipe that Assuming just of the is good. for part. the just I taking

line Sebastiano JPMorgan. of Your comes the of next from Petti question

comments, your up I guess Rick's just maybe perhaps following and question on to Mark.

across path kind of original seems to that Obviously, deciding it. last or IFC ecosystem, aviation pony But a in their for choosing one like of does for years. go partners, discussed race been a Delta right? while permeate the mean through [indiscernible] couple free. discussed has UIL on your topic of with how that that we've commercial the I Now the now this

And Wave Why you from so of announcement? LEO-GEO best next the the feasibility the the UAL to what or in in-flight -- perhaps connectivity are of and do put to make steps is with you're or what see what Is thinking -- and doing about that maybe solutions that why inclination over sense And it Nexus Maritime. some sort hybrid the something here, then time? could light similar perhaps not? way

just in Are of could Okay. the best And steps you light when the you about -- are said UAL what ... announcement? you talking

an the see chessboard, partner do how you Yes. StarLink of -- chessboard perhaps has -- the from additional do I to kind playing UIL a from steps of mean, do level? the -- Potential ecosystem-wide or made from how point out airline be in evolve here I next strategies not your you see does view where their and decision how with -- think here?

Yes.

it. have the with So That -- see like -- evident #X expense the the is lot some #X monetization. a of think the XX they years, the a issue substantial what -- value without ingredients is I been #X say, I'd want last new is so for airlines, to over do don't how I associated think right? the

it way that put at that an first answer you airline. one was was gratifying -- to hey, WiFi and -- example introduced I'm free going to So is, is scale, was, it when well the I give just

ticket might So revenue could a been right? [indiscernible]. in have premium seat passenger measure the a And they so prices, maybe per get

As an of example that, example that that it might be an way monetized. was a

it's But if have then to an hard premium example. a ticket as price multiple lines free, on get

the are you And about going just different of looking that could advertisements how is you capture service, understanding if differentiate or be with carriers, airlines, to of other And without So texting, be what's then fly are [indiscernible] you'll -- promotions think to free for free a could Internet providers. everything There's to and -- ways is different think differentiate. by content when to that, ways those. promotions you what there by tiers different people -- quite streaming. see on they're big I now complete see telecom Internet in from part

-- that are into turning for the our are are what that's -- what looking Who monetize. perspective. what people what from what think -- are airlines available. I the ways to data is it's It's

and much I seeing of want displays, about is strategy. the whether things would of say and and do not they the airlines is has we to include also or seatback strategies there It to to and free just started about -- of the first how I the think seatbacks differentiation with Internet have that monetization entertainment. more become in-house, what take outsource, them streaming. you're was when what they those What how much And connectivity are different now were service. capability whether different to that and do we about is really

them integration with quite And integration they order And imitate become so we've do them. features. and not -- things because themselves ended lot do software have airlines that third parties it's up you capability, or successful, with I there's a third tell them, they known those parties of entertainment, whether can as adding to engineering destination other no in

that LEO LEO is you have. the going most would -- perspective. fast airlines we bandwidth that. to and a of from And part, low -- portion that back have latency of involves the think a that really can the I certainly, I for So discussion -- And only I say good responsiveness. just it's -- was the used good

but way is to one differentiate, that's monetization the So another. way

effect to definitely we're multiple perspective, create any in GEO our from that that possible And a is or -- it's different integrate and any what LEO same way passengers. -- orbits for seeing effect the

put -- in bottleneck turns thing large the the just we when shines. ton usage the area. have on to a in GEO that data numbers the where be thing place is about thing And So a that's usage, things perspective, often that out -- has of are same really and the to of planes

The GEO. latency creates that sensitive, is what LEO bandwidth the incentives not and consumed on economic made combining vast streaming and fact of is that's majority that around streaming

we the there's for place to market customers, tell it And our among that. are doing. creating we're And I they LEO we customers in can't between can and for our solution. -- that things the is brought enthusiasm are maritime. tell difference I think brought that the effects those the an that really we're of -- first So to it a you lot

be think for those high able is very in overlap. I will difference, they, and tell place are which airports to the the in demand maritime ports, or areas, the usually for sometimes airlines

-- we've is now this seeing been the what we're while, a quite -- part think So out is least services. of at that OneWeb like the for of that that I bear saying in some initial

your to we're own. is see Sebi, high with we're to what thing either better for. we're is think X, think them, well aiming what aiming does answer on that same I the we'll That's its question? a for that speed than we that's integrate to the as and going and -- integrate way there one

Yes. Appreciate it.

of Your Simon Stanley. next Flannery from of Morgan line comes question the

size on timing launch you've any any and wondering commercial also just us more onto quickly. to developments just or around where [indiscernible] UAL the you is the like potential milestones timing? help keen question. was Any the if new and quite sounds the going FX move update on United you're new the is Could aircraft on think the going system unchanged? you to the up details following FX, capacity deploy that timing forward. exposure I It Visat-X us you other could and And then

you could to how love the contracts given with have see we going So United? that get you

okay. just Okay. --

we so the tape in satellites. ability to the what of that our unchanged -- drives reason because lot a we are put suppliers. working holding monetize those with is we the really satellites, the through the in-service new schedules -- those go as to -- in really did On is that is this, road there involved The way map actually, our It now. and work

work is on. there going So

on go the benefit opportunity if we faster, accelerate within are Some we is expense opportunities and -- of -- reason maybe additional this go at additional is can in-service those we've or that there dates to from an to the resources. the to things focused things that, the parts of some -- if program, some that other try have slower,

X for the but to we've how think I are -- we've the that's before, to anomaly back this -- the customers so able we failure and about And on state. to I But that's we analysis been mitigation the well. your way The we got the -- FX, come hold in-service as we're I thinking far, good with good FX, investors going about was talked main making on to been that's progress that what think it, think extensive it questions, things -- -- about other up approaches. for mode main doing, did main very a

if that still the at is one that failure mode to effectively all. a a structure even way prevent deploy is And failure up would beef the nominally. way other would from to recurring structure to the in the the occur, One were

of seen actions. that corrective been good, So have we've been that have those things the main implementation the

done The So storage, be all spacecraft to that's for just thing. the waiting itself in the reflectors main and is installed. basically

the same to we're that main discussed FX Asia The getting to situation Pacific. reactors be the and close for installed. to the is FX we've put Americas over is over anticipating plan FlightX

Okay. -- process would be for that. refer we're It I we on that the on that going get go evaluation And on then to to United comment StarLink. the inappropriate United , -- They think there. deploying plans on would us they're for to have their going to people an said through not

now. airplanes had it should will margin ongoing -- see we fiscal compounded we are about continuing aircrafts the X,XXX in service close of substantial close, there. but to -- about We grow the be we're of We it's think backlog delivery we service in going and by be previously But before. to year. do going still had -- very at beyond delays given We this to strike, we that. given in have target X,XXX-ish planes be a that We be end commercial the

grow. to So to continue we're going

for at be cover next questions? United describe from it -- what inputs growth see in Did But factored but good your all our into a the forecast, have for to us for We several I us. we would is that inappropriate years. ongoing

Yes.

the Mike comes Securities. line Crawford of B. from question Riley Your of next

Just for X Viasat-X. continuing and on the can expect Flight when Flight X we in-service

each us pictures Viasat the satellite with you've go in appreciate when service that report provided I these today at now on would this could point? the FlightX the in map. satellites But this earliest August be -- Just to road

XXXX for and for what said to point. right now XXXX not us -- mid- think good this at Yes. FlightX to a late -- that's Well, range is That's late And give we've We're that's FlightX. for I

catch Flight because ground I'm the a on it and is like from to stage, guess its little X picture, looks that confused Viasat-X it? I final up is going pass further along test but

Yes.

So the FlightX, mission. vehicle and raising has it orbit specific the launch a do longer has FlightX. with time FlightX to in

Okay. And now today talking some about you're then, Viasat-X, multi-tenant infrastructure. Mark, after maybe

build of just maybe maybe of thoughts thinking? what more? that couple GEO? all you to ago, months agility? part and diffuse there a Is talked risk I and even you have when enable faster you're to think proliferated evolved Or talking I more were and about parcel any satellites, simpler, Is

the are standards and and in purposes. available. there -- for X is those area that's are environment architecture approaches, good of in the are open that's okay, DXD different the And The mobile because different those the where we're X really getting application. No, interest multi-tenant

standards -- be of you that a and it's foundation are of XGPP really if look are nonterrestrial at networks. lot these think to again, So the we these -- the the going

modes mean, to standard opportunities right the approach dominate. for that's satellite [indiscernible] that what's standard. the those you I XGPP opportunities the are XGPP services if the not market that are to large, is and mobile be clear, is But there's -- expected at so So the forecast, good just can -- look the because existing multiple and now, use that there

way should we've XGPP -- own, network up devices standards constellations. and Globalstar of and is each services multi-orbit So same also they its has the of standards, where with total on in remember, same -- has Inmarsat are Iridium its satellite it's can of its they of to own, [indiscernible] to tone those has just a them, could described any own I allows own to that satellite you use you RF when that the architecture, types and of could own the bands what that work using infrastructure, as architecture think when these essentially the go any devices on those are you work now, work end has make that handset, it if of its

did At just which it -- point, big if the looks capital allow market make like in terrestrial much sense, return on that infrastructure for would it would it for better should everybody. more what as as have operators like, a it to share

So airtime innovative the and also that's the do MSS MSS traction to those to that add to space where speeds, and cost then designs and operators we're lower some improve and ground up much DXD to creative services with pretty it. come services allow getting both modes existing higher one. on that And we've

we Viasat-X that going -- of the that we space, and I do think functional what some And throughput think get capability satellite think one do. it that's things equivalent they're that what the to had kind think to capital working though In of been satellite and of of as that that is of intended towards fraction raised can point cost. fraction we've the Viasat-X are mobile a have an we the in doing broadband what of seen, So even do we're the of you the bands. satellites

you works that it's it's supposed manufacturers, as [indiscernible] issues kind the the to. to build what something these. It's They're just mechanical clear one, call pretty deployment exotic satellite struggled. of large they first the has way technology. can just It's for The that

approach. us that technologies things. is much, others And do do to finding describing much, dollar is trying we've simpler GEO. I much the what capital we're that capacity yield there at been economic to -- operators few same other The per is let What proliferated are looking low-cost which in higher what that about at a thing much think So unique what are are satellite that get higher and interested are we're a would geo that's much is quite you're looking that like for very those. more

So that the is approaches that's them approach towards. that's what we're of them in working GEO second you exploring described doing economics the that and with we're we're technical and

And then but we I and us way question hybrid point compete would a us superior that the architecture well to allows is goes that's make really that really in these gives GEO for to in can suited a is with mobility. do other LEO asked was way the that -- before which that

the be think Okay. the question in is, I to you are And think able a answer, last have but last with going bids -- know increase I to I launch these fivefold once deploy I there capacity Is you change demand men's online? be deploy able and deliver ample your you for services belief this any satellites. you're X will these that in to to bringing bandwidth with to Viasat-X customers

the that get the big There is really numbers about can you have these don't highest right? peak think they even in the of or that a I basis. lot struggle out what demand. reach speeds all time, demand to to ways is And they're Are deliver, the tell of the deliver LEOs that all time going put one to

-- we -- diminishing is very see So returns. That differentiate a the of there's bit the little ways a of of one of to amount demand. one is large capacity

an airplane. who and airport, high right a airplane do you demand now, much ton of there's streaming are an how situations. on definition need you it's need in If of really lots those But people on

Quilty The of Chris next line Quilty Space. of the from comes question

want I to Mark, follow just up.

were side device just You X directed was one discussing which than see satellites, about SATCOM in is rather what talking, of to focused which you of strategy, were did that business multi-tenant those kind a direct do on a think, and more the about of mention as when device? I you you part thought concept same? the I of the Or the

the cell designed be the right? to entire when backhaul environment, are about condo -- even with about just Iridium that that go support generations they're people are clear, think and simple the those in mean we it, multi-tenant think have the whatever multi-tenant and towers to spectrum did cover to the can talk of are apps of support condo in network And range before, we of and -- like multipurpose of instance, to ADS-B, MSS. for you have to it So -- multi-tenant, way I satellites like -- so apps, think done required GEO multitenant think

in might space condosats thing technology like shared distinction wood as -- the between these it's trying to really sales, is So with to the model a direct-to-device as do going so so XG might because -- by same make as the standards. the the we're in space, extent GEO really a go look business well the be direct-to-device to dominated don't more little but things

And on flip from sat that, think effort? source? business Where would chain of you and basically outreach what the on you Okay. think sort a I I call I'll terms model. condo currently And the bit you a what are side, are that's for customer of it in building any, pipeline that? seeing of hurdles, distinct And a that supply in likewise, if

really would -- I technology. some of revolve of more standards around network example examples best say the the than that best No,

partners this time. Latin in successfully done quite And and pretty so we've for a long Asia in America. Pacific with

demand access we a And actually are using getting several in types the they or more roaming. their national can them works, needs. some verticals we're some of But for more on we global design work where basis, different finding the already share those are of us much them existing works pretty satellites, with -- to few have ours, in -- quite their for support national have of would features others. We and where networking arrangements really of

United a to I'll just of sort what you be not, us you that of have announcement given over quickies. sending can the on from backlog? rule, you direct. your If aircraft closer the with hopefully, Starlink? just X,XXX Did And order you. they're aircraft United remove any Got previous give sense

No.

Okay.

of us So a that. we're to -- going to presumption do would be not it

should Airline will that United airline that What -- I tell break forecast, our but you bake separately, not United, is forecast of I not to we what our for each will into to airplane customers understanding should them. count services we them can of I plans people reflect give the for -- are about but all the our just their going think plans. you out have. We're those think they talk of

Sorry, Chris, we're starting to run long.

than you one had think your I So follow-up question. a more

can last you move May, please? to So go the and questioner ahead

Sure. Yes.

Ryan So Koontz. one question have from we last

keep quick I'll it here.

other You numbers in in thoughts not broadband really I in competitive reflects talked is services declining about there threat a headwinds. if and there decelerating that feeling can from sure your I'm quarter. you wonder maybe unpack that on the LEO? on fixed fixed your you're --

same things main from main the are been Fixed is ingredients into applications aviation. the one fixed bandwidth the as thing moving and there, it's

which for is growing bandwidth of other user demand sort that per is issue requirements. The industry-wide one, an everybody

we've from user if adding before not bandwidth the for that of bandwidth. then down, and our as subscribers down effect same go probably then to amount shown the support expands, have the satellites, bandwidth -- of number So we're is we're we going if you can those this

the are X So things. those

perspective, year-over-year the is on from decelerating. fixed decline dollar a the I amount think

it. Got

it's bandwidth saying you're So and plan anyway to part IFC. toward move of mobile your

less, in is even impact a double-digit it the stands out decline total... So though as

bandwidth to government fixed was contributing or of I mean revenue. to revenues contributing some the mobile now revenue that

Mark Q&A now session. conference our I closing over for back will concludes to remarks. turn Dankberg, CEO, That the the

in interest quarter. to look in everybody, Thanks. and much, of speaking out very again little We thanks call a for our appreciate next for Well, and bit excess. all we forward participating taking the

Ladies and joining. gentlemen, all concludes that for today's Thank you call.

disconnect. now may You